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This report is focused on providing an evaluation and business strategies that would help to determine the BHP Billiton company and would help to deliver with the strategic growth that would emerge in the cut-throat competitive market environment. Situational analysis is one of the approaches, through which the company can set up and create an independent framework under which it can penetrate the new places or launch their new products or simply access the dynamics of the markets (Byrd-Bredbenner, 2016). With the situation analysis, the company can even determine thekey requirement to undergo the restructuring in the form of the merger, acquisitions and joint ventures that would aid to gain a better competitive edge along with holding a critical analysis which is related to the emerging new markets and also determining threats to the company. At the end of the report, we would be also understanding the market key variables, value propositions and the related strategies which can help to draw relevant contribution towards the required strategy.

Company Overview

BHP Billiton is known to be one of the world’s biggest mining companies. The company originated through the capitalization by combining BHP Company and Billiton and forming the biggest mining company that began its operation during 1860.

BHP Billiton is known to play a vital company through the innovation, growth along with the key manufacturing and providing an opportunity through the core promotion of iron ore along with accessing the market by providing the coal, copper along with the oil and gas, diamonds, silver and the various other valuable resources such as the lead, zinc. Today, BHP Billiton is also known to be a market leader that has value fit into the flat steel goods (Byrd-Bredbenner, 2016).

BHP Billiton is known to operate into the three main functioning businesses which include the minerals, petroleum along with the steel. BHP Billiton’s has a headquarter in the Melbourne, Australia, but it is a large operating company which has offices across the London, Perth along with the Johannesburg, Santiago, Singapore, Shanghai and even covers the Houston and The Hague. So far, the company has a strength size of the 30,000 employees globally and has work in the international set up and domain of Australia, UK, and Germany along with the New Zealand, Switzerland, and the US.

Task 1: Situation Analysis

  1. Identify objectives and issues

The main objective and the issue are to understand and introspect the reduction in demand from China, as the company cannot lose the vast market.

Develop marketing strategies& action programs

The global commodity market that would help to determine the Chinese demand which would also penetrate the market, As the company would be experiencing the slowdown due to the major effects of the Chinese economy and the company has to bear the prices of fluctuating the commodities. The company cannot afford to lose the significant market like China and it would also help to capture the market that can create commodities such as iron ore and copper. As China’s demandis progressively been increasing and there has been a commodities derivation that can help to drive the company to have the global materials demand included from the last (Byrd-Bredbenner, 2016).      There has been a phenomenal increase in commodity demand that would be determined in the business opportunity that would be developing into the. It would be determined into the BHP Billiton’s that would show how there can be China’s economic fortunes along with the economic policies that would be increased. China needs to also evaluate into 19.7% ($9.9 billion) that can also be determined into the group’s total revenues as shown into 2018.

  1. Budget and controls.

The budgets and the controls aligned which would work on the strategy that would aim into the developing Tier 1 and would determine into the long life along with the low-cost, expandable assets.

Positioning strategy in the target market includes the value proposition

BHP Billiton which is focused on providing feasibility study and as we know that the mainstream of the company would be to facilitate and also be able to emphasized on the key threats that pertain to the company along with determining the global financial crisis or the equal economic conditions (Byrd-Bredbenner, 2016). To understand how there can be the related worldwide financial system the company has to also examine how there can be one of the key understandability of the role on the status that can be central to any universal, worldwide, and the defined production markets, It would also be important to understand how the company the subject matter   that can essentially also impact the business fiscal report. The given mainstream of the ferocious antagonism along with the challenge which can be anticipated with the related businesses that can define based on the risk to the firm. To further evaluate there can also be a local financial and marketplace policies that can examine how there can be threats as introspected to the firms that would be able to venture and be able to explore the required business industry that can balance the required economy to evaluate the business ventures. Through the given global financial crisis it would also be aimed to create a threat that can focus on the company’s current positions and also ensure steps to bring out financial stability, resources, and also evaluate the scalability of the production.

The value proposition of the company Marketing Strategy can be understood through the segmentation that would equally be dependent on the specific buying behavior of customers. It would help to anticipate the needs, expectations along with relating the buying behavior of customers that would equally be including the multifaceted factors- like:

  • Age
  • Gender
  • Income
  • Lifestyle
  • Values etc.

To further examine how there can be the segmentation technique, BHP Billiton would also churn out and determine the relationship to the large along with the given diversified target audience that can focus on the specific groups.

For any company, it would be important to have the segmentation strategies appropriate or the Marketing Strategy.

  • It needs to also understand how the company can explore the geographic segmentation which would aim to divide based on the geographic areas, such as the city, country, and region.
  • With the understanding of the demographic segmentation, the key to understanding the required BHP Billiton has to be divided by the demographic characteristics such as gender, age, income, and ethnicity.
  • Another way is to also choose the required behavioral segmentation, which would help to divide with the requiredbuying pattern and it would include the variety of the usage frequency, benefits sought along with the required usage occasions and brand loyalty.
  • Further, there is also a need to have the psychographic segmentation that can help to evaluate with the required customers' grouping that can match with the lifestyles, interests, attitudes, values, and traits (d'Alessandro, 2017).

Consolidation of the Western Australian iron ore (WAIO) assets that belong to the BHP Billiton and Rio Tinto.

The main origin to the  BHP Billiton and Rio Tinto that has originated with the non-binding agreement that would be determined into the production joint venture that would cover how there would-be originate into the both companies' and covers the Western Australian iron ore (WAIO) assets. During the June 2009, it would be a joint venture that would be adjacent mines which would define the operations and reduce costs that would be covering the shorter rail hauls and it would help it inefficient allocations that would cover into the port capacity. It would also determine the blend opportunities that can estimate how there can maximize product recovery and it would also understand how there can be further operating efficiencies. The main aim of the company would also to optimize future growth opportunities and would cover the vast development of consolidated along with the larger which would be working on the capital-efficient expansion projects (Heard, 2017). It would also help to determine the substantial synergies which would work on the groups. It is also important to understand the net present value which would work based on the unique products along with the development synergies that would be more than the $10 billion.

Task 2: Marketing Mix Variables

  1. The value proposition of your chosen business, product or the brand

BHP has been exploring the factors that are focusing on entering new markets. With the given nature of the industry, it would further be explored and how it can make the company to choose the related emerging markets that can utilize the types of the resources which does not exist and build around the strategic location of projects. It would also need to explore how there can be the close to emerging markets and steps around the good transportation that would help to render the supplies and would be making the management decisions dependent on the operation of the key focus resources. With the right decision, it would help to examine how there can be related commodities to development along with the secured steps that can help to determine how there would-be emerging markets which can explore and defy in the given zines. consumed by emerging markets. It would be set operating and explore within the given countries themselves. The company while outlining on how to penetrate China like would be able to consume large quantities of iron that would be central to the infrastructure, along with the key focus on the iron exploration that can help to capture the rightful market share. The company can also use the large part for ilmenite, as used primarily for the pigmentation needs to understand the required white paints which would be developed potentially into the required system (Dutta, 2017).

With the given development of the marketing mix strategies, it would help to explore and expand the market base of the customer. It would be unlikely to have a clear understanding of the company expectations and the defined attitudes (Herbst, 2017).

As the company BHP Billiton would be able to follow the three potentialanalysis:

Firstly, BHP Billiton needs to understand the potential and the existing customers, along with then segregating into the required group of the customers which can help to determine the motivations, traits and the related characteristics. It would also need to evaluate based on the customer analysis which can help to determine the needs and the expectation as the groups differ.  It is equally important for the company to also analyze from the framework of the  BHP Billiton that can offer the wide product/service that can originate with the required groups along with the required customer groups that can also help to relate with the profit and growth potential. Through this, the BHP Billiton would be able to explore the customer profiles and personas (Liu, 2016).

b.The business's the situation and develops appropriate marketing mixstrategies;

Even if the company is aiming to route to strengthen the China prospects of the growth with the desired company demands, it would have to ensure that the required products such as Steel or Nickel, is widely deferred. It has been observed that approximately 90% of the imports come from Asia that belongs to the location of the Ravensthorpe and Yabulu refineries.


The company has also originated with the product Marketing Strategy that can aim to reflect the solution based on the customers’ needs. BHP Billiton is known to be one of the companies that has a unique product design along with the required name and features associated with it, which can have a wide competitive market. To even follow with the required parameters it would help to develop into the course of the action that builds on the desired product strategy- quality along with the variety, features and also includes the desired packaging, brand name or the understanding of augmented services (McCluskey, 2016).

  1. Pricing

The company main essential crux pointers include thekey requirements to evaluate the desired value of products that aim for targeted customers. With the potential pricing strategy aimed for the company BHP Billiton, it would be able to focus on the list price, credit terms along with strengthening the payment period and discounts.

  • For the company BHP Billiton, it also aims to focus on the price penetration strategy and it would aim to focus on the lower price in comparison to the competitors. With the desired company goals it would also aim to bring out the best of the win market share that can help to determine the discounted pricing. Further, it would be important to have the desired management that would aim to relate to the potential retaliation from competitors that can focus on the undesired price war (Piper, 2016).
  • Another way is to also establish a skimming strategy that can help to define with the desired mode of communication of differentiation and it would be justified to be the desired price.

It is important to have the desired ‘price' and it would be equal to the total cost which can focus on the acquiring, consuming along with the possibility of the disposing of the product (Snodgrass, 2017).

  1. Place

The company also aims for modern customers and it should aim to provide a rightful ‘convenience’ along with the ‘easy availability’.

It should include the parameters to evaluate the product characteristics and it should involve the rightful framework of the middlemen that can also help to distribute the perishable products.

To balance with the rightful framework of the market dynamicsand to understand  if the customers' preferences with the desired resources and capabilities. It would be focused on the rightful insight of the high importance that can also personalized services and it would be important to have the required prefer shopping as understood from the traditional stores that can aim for the online channels that would focus on the outlets, then distribution strategy, etc..

  • With the desired competitors' distribution strategies, the main aim would be to analyze the required comprehensive cost-benefit analysis that can help to understand the requiredcomparison with own resources and would determine with the BHP Billiton to focus on the effective distribution plan.
  1. Distribution

For any company, the key focus is to understand and access the required understanding of the BHP Billiton which can match with the developing its distribution plan. Through this there can also be a product understanding which would widely be available to the targeted customer segments from the requiredchannels that can help to determine with the customer needs.

It would be aimed to understand the distribution that can anticipate with the direct (involving no middlemen along with the key finding to the indirect. As understood how there would be the distribution strategy that can aim to prosper through the middlemen needs to be potentially be selected (wholesalers, retailers, etc.)

It is equally important to have the framework of the traditional brick along with the mortar distribution network and also aimed to design the desired online distribution or a combination of both. With the related contribution of certain online retailers, it would be aimed to have the focus to sell on the desired products (van Zyl, 2017).


The main aim is to understand the key importance of the elements that belong to the company, which can blend with promotional strategies. It would be the most important elements of BHP Billiton Marketing Strategy. BHP Billiton can blend above and below the line promotional strategies that can even achieve the desired marketing objectives. Through the above line promotion options, the company can include the promotional strategy such as the television, radio along with the print advertising. It would be important to have the desired promotion options that can aim to include the catalogs, tradeshows along with the required direct mail campaigns.

The company main aim of the promotional strategy would be as follows-:

  • To explore the desire and the required unique selling propositions that can help to determine the customer needs and to also discover the alternative options.
  • Further to explore how there can be a relevant message content that would be created to generate awareness and also create a frightful picture of the message.
  • Through the promotional strategies, it would be aimed to provide a direct selling or high profile advertising that can also help to suit to the related parameters that can push the product. In another accordance, it would be aimed for the pull strategy that can further explore how there would be the development of a prestigious brand image which can be aimed to provide a better picture of the customers towards an offered product (Zikmund, 2017).
  • Further to collect with the desired target market information- and to also understand the information with the price sensitivity level. It would be aimed to provide the desired communication modes of the customers and the required promotional plan.
  • Further to understand how there can be the promotional options that can be aimed to provide information along with the basis of the cost-benefit analysis to have the promotional alternatives.


With the market value proposition and the market segmentation surveys, it would help to anticipate the common type of the customer type and be related to the customer-specific information which would cover the related understanding of it.

It is important to nurture and to evaluate the unique buying behavior that would help to examine the customers which would be impactful and be understanding the required into small homogeneous groups that can cater based on the geographic, demographic along with the required behavioral characteristics of customers (Carten, 2016).


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Dutta, G. (2017). Global Marketing. Pearson Education India.

Heard, I., Love, P. E., Sing, M. C., & Goerke, V. (2017). Learning to build relationships for a better Australia: Indigenous reconciliation in action in the construction and resource sectors. Construction Innovation17(1), 4-24.

Herbst, J. M. (2017). How Australian social enterprises use strategic marketing and social marketing to drive accountability and change for sustainable development(Doctoral dissertation, Queensland University of Technology).

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Snodgrass, C., & Cockerill, T. (2017). Improving productivity by integrating software developers into resource engineering. AusIMM Bulletin, (Feb 2017), 84.

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Zikmund, W. G., D'Alessandro, S., Winzar, H., Lowe, B., & Babin, B. (2017). Marketing Research: Asia-Pacific Edition. Cengage AU.356


250 words

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